PT  - JOURNAL ARTICLE
AU  - Vodák, Michal
TI  - Analysis of alternative approach to determining of customers' profitability level
DP  - 2014 Nov 19
TA  - Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis
PG  - 265--272
VI  - 55
IP  - 6
AID - 10.11118/actaun200755060265
IS  - 12118516
AB  - This paper describes alternative approach to analysis of customers profitability based just on volume of purchased goods. By including average distance of customers' distributional places as additional criteria for profitability analysis and using cluster analysis as a method for ranking customers is proven that assessing of customers' profitability can be more accurate.This approach to evaluation of customers' profitability changes order of customers listed acordingly to profit they generate. In fact it shows that in business terms is room for improvement and harmonisation of relationship among some business partners in certain cases. Recalculation of business conditions which comes from detailed analysis can bring either increase of competitiveness by price reduction or increase of incomes by rising price of goods.